Ross Stores, Inc.
Off-Price Retail and ApparelFounded 1982- Updated July 2025
Reviewed by Swet Parvadiya
Last reviewed: July 2025
CorpDigest
Ross Stores, Inc.
Company History
Founded 1982 in Dublin, California
Last reviewed: 2025-07-15 · By Swet Parvadiya
Ross Stores, Inc. generated $21.5 billion in net sales for the fiscal year ended February 1, 2025, operating a massive dual-banner off-price retail network comprising 1,780 Ross Dress for Less locations and 345 dd's DISCOUNTS stores across the United States, functioning as the definitive off-price apparel and home fashion retailer for the American consumer. The company captures value through a highly specific, opportunistic merchandising strategy that capitalizes on manufacturing overruns, canceled orders, and inventory imbalances, purchasing branded merchandise at 20% to 60% below wholesale costs and passing those savings directly to consumers through a permanent discount pricing architecture. Founded in 1982 by Stuart Moldaw and currently led by CEO Barbara Rentler, the company commands a market capitalization of approximately $48 billion and employs over 103,000 associates, reflecting its unique position as the only major off-price retailer that successfully operates both a branded treasure-hunt format and an extreme-value family format under a single corporate umbrella. The company's competitive moat is built on an unreplicable vendor network of over 100 specialized buyers, a decentralized store labor model that minimizes overhead, and a psychological treasure-hunt shopping environment that drives high-frequency customer traffic and maintains an industry-leading 13.2% operating margin despite the inherent volatility of the off-price supply chain.
Stuart Moldaw is the founder of Ross Stores, Inc., having started the company in 1982 under the name Ross Dress for Less in Northern California. Moldaw, a retail veteran who had previously worked in the apparel industry, recognized the untapped potential of the off-price format following the success of early pioneers like TJ Maxx and Marshalls on the East Coast. His retail expertise was instrumental in the early development of the company's merchandising strategy, supply chain network, and store operations model, establishing the foundation for the company's aggressive organic growth in the 1980s and 1990s. His leadership style was characterized by a deep commitment to operational efficiency, a relentless focus on the customer experience, and an unwavering commitment to providing extreme value to the American consumer. Moldaw's vision of creating a scalable, high-velocity retail operation that could adapt to changing consumer preferences and macroeconomic conditions has guided Ross Stores' evolution from a regional off-price concept to a $21.5 billion discount retail powerhouse. His legacy lives on in the company's proprietary buying organization, its massive real estate footprint, and its psychological treasure-hunt shopping environment that drives high-frequency customer traffic and maintains an industry-leading 13.2% operating margin. Moldaw's contributions to the founding and early development of the company are recognized as foundational to its success and its evolution into a dominant force in the off-price retail sector.
Stuart Moldaw founds Ross Dress for Less in Northern California, establishing the foundation for the off-price retail model that would eventually become the largest off-price apparel and home fashion retailer in the United States.
Ross Stores completes its initial public offering, providing the capital necessary to fund its aggressive expansion, invest in its proprietary distribution network, and develop its direct-import capabilities.
Ross Stores launches the dd's DISCOUNTS banner, instantly providing the company with a foothold in the extreme-value family market, a demographic segment that the legacy Ross Dress for Less banner had historically under-penetrated.
Barbara Rentler assumes the role of CEO, initiating a comprehensive operational optimization program that fundamentally re-engineers the company's supply chain, real estate deployment, and labor management models.
Ross Stores generates $21.5 billion in net sales for the fiscal year ended February 1, 2025, reflecting a successful stabilization of customer traffic and a favorable product mix shift toward higher-margin branded apparel and home fashion merchandise.
Ross Stores has historically relied on organic growth and internal development to expand its capabilities, focusing on aggressive new store openings and the development of its proprietary buying organization and supply chain network.